25 February 2010, Thursday, 19:20

Rail Sarbaev: “Every private yard should be included into the category of small business undertakings”

author: Michael Sytin

The private auxiliary farmings have to be included into the category of small business undertakings, the Prime-Minister of Government RB Rail Sarbaev said at the meeting of the governmental commission on development of small and medium business in Moscow.

“Private auxiliary farmings have rather high potential of production” – he said – “And if we include such farmings into the category of small business undertakings, it will allow them to receive systematic state support. Moreover, the life itself dictates us the necessity to accelerate this process. Automation of production at big farmings inevitably releases work hands. For instance, the acquisition of one high-tech tractor exchanges five ordinary machines and we mustn’t shorten the number of people, living in the countryside, so we have to make suitable conditions for work for them there”.

The share of private auxiliary farmings in the overall agricultural output exceeds 60%. More than 250 thousand hectares of land are found in private property, where 95% of potato, 75% of vegetables and about 70% of meat and milk is manufactured.

“Positioning of private auxiliary farmings as the subjects of small business will allow them to make use of all advantages of state support, including acquisition of agricultural machinery, preferential crediting and “start-up” programs” – the Prime-Minister believes – “We’ve visited Finland last week. For example the population in a small town makes 18 thousand and the number of businessmen there is about 1100. At that the number of workers at small local enterprises makes 3, maximally 6 people. The budget of this small town is equal to 20 million rubles and in our Republic the budget of the analogous average region doesn’t exceed 10-15 million rubles. Development of small business means the future of our economics and from this point of view villages should be the objects of our close attention and our support”.

themes: agriculture